Changes to Minimum Wages - Increased by 15% for Aged Care Workers!
Photo by Josh Appel on Unsplash
As of 30 June 2023, the Fair Work Commission will be enforcing an increase in minimum wages by 15% for employees in the aged care sector.
This decision by the Fair Work Commission is a positive step towards ensuring that employees in the aged care sector are paid fairly for the important work they do.
What awards are impacted?
Aged Care Award
Social, Community, Home Care and Disability Services Award
Nurses Award
Who will benefit and how?
The increase applies to direct care employees in aged care. This includes:
personal care workers (PCWs)
recreation/lifestyle activities officers
nursing assistants
enrolled nurses
registered nurses
nurse practitioners working in aged care
home care workers working in aged care
Furthermore, the 15% increase will also apply to the most senior food services employees (levels 4-7) covered by the Aged Care Award and working at a specific aged care facility or site.
Who is not covered?
The increase does not encompass other employees in the aged care sector, such as support and administrative staff, and chefs and cooks covered by the Aged Care Award, unless they hold the most senior food services employee position at a specific aged care facility or site.
Next steps for employers
Ensure that your award classification of employees is up to date.
Confirm any employees in the above awards meet the eligibility criteria for the associated wage increase.
Communicate the increase with any applicable employees.
Review payroll systems to ensure you are ready to implement the 15% increase for 30 June 2023.
More to come?
In conjunction with the above, the FWC is conducting its Annual Wage Review which considers minimum pay rates each financial year for all modern awards. As a result, employees that are receiving the 15% wage increase, may end up having an additional increase from this review.
We will reach out to provide the results from the annual wage review, the takeaway is for employers to be aware that some staff members may have additional wage increases.
How can Infinity HR support you
If your business has employees that fall under the above awards, we are well-equipped and readily available to assist your business in preparing for this change. Please reach out to us if you would like us to assist with any of the above.